Primary navigation:

QFINANCE Quick Links
QFINANCE Topics
QFINANCE Reference
Add the QFINANCE search widget to your website

Home > QFINANCE Dictionary > Definition of backwardation

Definition of

backwardation

  • 1.

    penalty paid for late delivery of stock a penalty paid by the seller when postponing delivery of stock to the buyer

  • 2.

    when cash price exceeds forward price a situation in which the spot price is higher than the forward price.

    Related definitions of "backwardation"

Definitions of ’backwardation’ and meaning of ’backwardation’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’backwardation’ and other financial terms with our online QFINANCE Financial Dictionary.

Back to top